Does Fair Trade Help?

Marginal Revolution University: Does Fair Trade Help?

Economist Tyler Cowen gives his take on the impact of Fair Trade coffee. For a more detailed analysis, I'd suggest Victor Claar's Fair Trade? Its Prospects as a Poverty Solution.

I know many activists are passionate about Fair Trade coffee, but I don't see their certainty about the benefits reflected by economists who study the practice. I suspect that the same could be said for most commodities. (It may be different with non-commodity efforts like hand-crafted goods.) But generally speaking, I think the advice to buy coffee at the best price and give the excess you would have paid for Fair Trade coffee to a good charity is good advice.